Yes Bank slumps 5%

Yes Bank is down in the red today morning, slipping 5% to Rs.53.40. Its 10% LC for today is at Rs.50.60.

The Bank will have the all-crucial Board meeting today to decide whether or not to accept the $2 billion preferential share sale bid of Canadian billionaire – Erwin Braich. Of this, 60% will be taken up by Braich and his Hong Kong’s SPGP Holdings.

The unconfirmed news is that Yes Bank will reject the offer, opting instead for institutional investors. This comes as a blow as the Bank needs the cash desperately.

There is also another unconfirmed news that Rakesh Jhunjhunwala is likely to withdraw plans to invest $25 million in the lender through his wife Rekha Jhunjhunwala’s family office. He is expected to issue a formal letter today.